Decentralized finance (DeFi) has been a dominant trend since mid-2020, with over $168 billion locked across various blockchains. Now, the Bitcoin Cash (BCH) network has entered the DeFi arena through the SmartBCH protocol, and its first decentralized exchange (DEX) — Benswap.cash — has officially launched, offering high-yield liquidity pools and non-custodial token swaps.
SmartBCH: Bridging Bitcoin Cash and Ethereum
SmartBCH is a sidechain that brings Ethereum Virtual Machine (EVM) and Web3 compatibility to the Bitcoin Cash ecosystem, significantly improving throughput. First reported by Bitcoin.com News when it launched three nodes five months ago, the protocol has matured rapidly. Now, BCH enthusiasts are leveraging Benswap.cash, a clone of the BSC-based benswap.finance, to farm yields and trade tokens on the SmartBCH network.
How to Get Started with Benswap.cash
Users must configure MetaMask to connect to the SmartBCH network. Currently, the only bridge to obtain sBCH (the SEP20 standard token on SmartBCH) is through the trading platform Coinflex. The process involves depositing BCH into a Coinflex wallet, then withdrawing sBCH using the SEP20 network to a MetaMask address. Only standard BCH network fees apply. Once sBCH is in MetaMask, users can swap between various SmartBCH tokens or provide liquidity to earn passive income.
Tokens available on Benswap.cash include $CATS, ARG, Green Ben (EBEN), HONK, and more. EBEN is the native governance token of Benswap.cash, currently trading at approximately $2.48 with a circulating supply of 5.72 million, giving it a market cap of around $14.2 million.
Liquidity Pools: APY Ranging from 200% to Over 1,000%
The current annualized percentage yields (APY) on Benswap.cash are exceptionally high. For example, the EBEN-BCH liquidity pool offers an APY of 1,070% paid in EBEN (minus fees). Meanwhile, the $CATS-BCH and $CATS-EBEN pools yield between 210% and 290%. These APY rates are dynamic and subject to change based on pool activity and total value locked.
Risks and Cautions
Benswap.cash is a clone of benswap.finance, which is currently undergoing a security audit by Certik — but the audit is not yet complete. The project team remains anonymous, and the protocol has only been live for a few months. As with any DEX, users should exercise extreme caution: verify wallet network settings, token contract addresses, and never invest more than they can afford to lose.
The Bitcoin Cash community has been actively discussing Benswap.cash on Reddit’s r/btc forum and Twitter, hailing it as the first DEX built on the BCH network and a key milestone for the SmartBCH ecosystem.